MOSCOW, September 21 (RIA Novosti) - Sberbank is ready to issue a 20 billion-ruble ($660 million) loan for the restoration of the Siberian hydropower plant seriously damaged in a fatal accident in August, the head of Russia's state savings bank said on Monday.
"We are ready to finance the restoration of the Sayano-Shushenskaya hydroelectric power plant. The terms of the loan will be the minimum from the point of view of the market position," German Gref said
The hydropower plant in the Siberian republic of Khakassia has been not been operational since the August 17 accident, which claimed 75 lives, and will take an estimated five years and at least 40 billion rubles to restore it to full working order.
Gref said the funds could be released at any time and it was up to the management of the dam, which is owned by RusHydro, in which the Russian government has a majority stake.
"We informed the company that we are ready to provide the first tranche of 10 billion rubles," he said, adding that the term would be at least five years and the interest less than 16%.
Russian Deputy Prime Minister Igor Sechin said last week that half the 40 billion rubles to restore the plant could be raised through a share issue.
He said that the accident was caused, among other things, by poor technical control by the plant's management, and that the official commission investigating the incident would report within a week.
RusHydro has said it will decide on the share issue in October or November.
